U.S. Federal Reserve Chairman Jerome Powell speaks during a press conference in Washington D.C., the United States, on Sept. 26, 2018. The U.S. Federal Reserve on Wednesday raised short-term interest rates by a quarter of a percentage point, its third rate hike this year and the eighth such move since late 2015. Xinhua-Yonhap

The U.S. Federal Reserve raised its benchmark interest rate band by 25 basis points, in line with market expectations, as the central bank continued its tightening cycle."In view of realized and expected labour market conditions and inflation, the committee decided to raise the target range for the federal funds rate to 2 to 2.25 per cent," the Federal Open Market Committee said in a statement on Wednesday. The Fed noted that inflation remains around the target of 2 per cent and future hikes - which are expected this year and next - would take into account the labour market and prices. U.S. President Donald Trump told reporters at a press conference in New York that he was "not happy" with the increased rate, but said the central bank was reacting to the positive numbers from the economy, for which he took credit.Unemployment is low and economic expansion passed 4 per cent last quarter. "They are raising them because we are doing so well. We are doing much better than I projected when I was campaigning," Trump said. He has previously said he does not like high rates, which he believes would stifle growth, but the White House insists the president will not interfere in the independence of the Fed.The Federal?Reserve has been steadily raising rates from an historic low of near-zero implemented in the wake of the 2008 financial and economic crisis. (DPA)